Insolvency trade body call for ban on store cards
Insolvency trade body R3 has called for ‘financially unqualified shop staff’ to be banned from selling store credit cards – saying that ‘this practice contributes to the mountain of personal debt in the UK and entices vulnerable customers into debt’.
President of the trade body, Peter Sargent, said: “It is frankly irresponsible to sell credit over the shop counter as though it is no more important than buying a sandwich. Without proper training, shop assistants are inappropriately qualified to understand the consequences of what they are selling and often commission driven. While these cards are presented as innocuous, they can lure vulnerable people into debt. They should only be sold by people who have been sufficiently trained to sell financial products.”
An IVA expert for the IVA Forum commented: “It is vital that consumers are aware of the implications of taking on debt.
“We would advise anyone who feels they have taken on too much debt and is finding it difficult to manage to contact a professional debt adviser without delay. They may find that a specific debt solution, such as an IVA or a debt management plan, could help them regain control of their finances and tackle their debts.”
Insolvency trade body R3 has called for ‘financially unqualified shop staff’ to be banned from selling store credit cards – saying that ‘this practice contributes to the mountain of personal debt in the UK and entices vulnerable customers into debt’.
President of the trade body, Peter Sargent, said: “It is frankly irresponsible to sell credit over the shop counter as though it is no more important than buying a sandwich. Without proper training, shop assistants are inappropriately qualified to understand the consequences of what they are selling and often commission driven. While these cards are presented as innocuous, they can lure vulnerable people into debt. They should only be sold by people who have been sufficiently trained to sell financial products.”
An IVA expert for the IVA Forum commented: “It is vital that consumers are aware of the implications of taking on debt.
“We would advise anyone who feels they have taken on too much debt and is finding it difficult to manage to contact a professional debt adviser without delay. They may find that a specific debt solution, such as an IVA or a debt management plan, could help them regain control of their finances and tackle their debts.”
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